Planning for the future

Finances and Life Planning

According to research that I’ve done and in speaking to Comerica Bank, Among parents of children with special needs:

• 60% don’t expect their child to be financially independent
• 68% have not written a Will
• 53% have not identified a Guardian
• 72% have not identified a Trustee
• 29% have done nothing to plan for their child’s future.

In a survey conducted by MetLife Insurance, 31% of the parents surveyed expect that a brother or sister with provide care and financial support for their child’s future. However, the lack of financial planning on the parent’s part will greatly affect the quality of life, government benefits and the other family members involved. Special needs planning should be discussed with a financial advisor, an attorney, insurance agent, medical providers and the other family members. This will allow for the lifetime planning needs and estate needs to be met if anything happens to the parents.

Parents need to determine who will make decisions for the child. Government benefits fall short and change frequently so you need to plan. I think that it’s really important for a parent to talk with an attorney that specializes in special needs. They will be able to help you examine your current and, future needs along with the costs associated with both. I highly recommend that you start to plan early. This also means that a legal guardian will need to be named for the child with special needs and the parents should have this person identified in the Will. According to Comerica’s Wealth and Institutional Management, planning is the key and is critical for securing a quality of life you would want for your special needs child. I know that Comerica specializes in special needs trusts but, you should find a financial institution that works best for your families plan.